ROBO Index-Linked Assets Double as Investors Pivot to Physical AI

• The ROBO index delivered over 55% growth since Q1 2025, with top contributors including Celestica (+403%), Teradyne (+361%), and Symbotic (+212.5%), each adding 2-4% to overall returns.
• Assets in London-listed ROBO-LON nearly doubled from $650 million to $1.1 billion, while U.S.-listed ETFs attracted over $300 million in inflows as advisors seek diversification from Magnificent Seven tech stocks.
• The index uses a proprietary score-weighted methodology that caps individual company weightings at approximately 2%, evaluating firms on thematic revenue purity and technical leadership rather than market capitalization.

Summary: ROBO Index-Linked Assets Double as Investors Pivot to Physical AI

Key Developments:

Global assets tracking the ROBO Index have doubled over the past 12 months, reaching $1.7 billion in AUM. London-listed ROBO-LON assets nearly doubled from $650 million to $1.1 billion, reflecting growing investor interest in physical AI applications beyond traditional software and semiconductor plays.

Performance Metrics:

The ROBO Index significantly outperformed major benchmarks, delivering over 55% growth since Q1 2025. It beat the S&P 500 by 30% and the Nasdaq-100 by 20% year-over-year. The index currently trades approximately 20% ahead of the S&P 500 and 30% ahead of the Nasdaq-100.

Top Contributors:

Several constituents delivered exceptional returns over 12 months:

• Celestica: +403% (+4.1% contribution)
• Delta Electronics: +445% (+3% contribution)
• Teradyne: +361% (+3.4% contribution)
• Symbotic: +212.5% (+3.3% contribution)
• Coherent: +216% (+2% contribution)

Investment Strategy:

The ROBO Index employs a proprietary score-weighted methodology evaluating companies on thematic revenue purity, investments, and market leadership. Through quarterly rebalancing, no single company averages more than 2% weighting, reducing concentration risk common in tech-heavy indexes.

Market Implications:

Investors are shifting toward robotics and physical AI applications in manufacturing, aerospace, and defense sectors. U.S.-listed ETFs saw over $300 million in inflows, with an additional $250 million flowing into London-listed counterparts. Financial advisors are using robotics exposure to diversify away from concentrated Magnificent Seven positions, attracted by low geographical and end-market overlap with large-cap tech stocks.

This trend represents a strategic pivot from digital AI infrastructure toward tangible, physical AI implementations across industrial sectors.